Club Med predicts bright future for all-inclusives

The UK all-inclusive market has grown 32% in the last five years despite the economic downturn, says a report by Club Med.

The findings came from research by independent market information company GfK Ascent, which analysed data from Club Med and 39 other tour operators who have premium all-inclusive products.

According to the report, the all-inclusive market represented 3.1 million passengers in 2011 in a total market of 10.4 million leisure travellers, of which 75.5% (7.5 million) were on package holidays.

Club Med said the findings showed that the four and five-star sector of all-inclusive holidays is set to grow "exponentially" within the next few years despite the current economic climate.

Overall, all-inclusives were up 9% in winter 2010/11 and up 11% in summer 2011, but premium all-inclusives achieved a 15% and 24% climb respectively.

Laurent de Chorivit, managing director of Club Med UK, South Africa & Nordics, said: "In a challenging economic environment, it is not unusual to witness new trends and habits emerge.

"This report was commissioned to help us understand better our consumers and also examine the potential of the UK holiday market. The research show that the premium all-inclusive market will double in the next five years - an exceptional opportunity for Club Med."

The 39 tour operators also surveyed included Abercrombie & Kent, Beachcomber, Cadogan Holidays, Crystal Holidays, Elegant Resorts, ITC Classics, Kuoni, Sandals, Thomas Cook Signature, Thomson Platinum, and TUI Travel.

by Bev Fearis